I have created a new website called Stock Mania ! : stockmania.com
It features a list of Mutual Funds that can short: stockmania.com
This thread is a forum to discuss these funds and the market conditions that would make them a good investment.
There are many different types of funds that short and many different strategies for doing so. Here are some basic categories I have identified and grouped these funds into (these are my categories and do not match with any ratings service):
Stock Funds - These are any stock funds that use shorts as a hedge against their longs. Usually value, contrarian or natural resource funds.
Bear Funds - They short most of their portfolio when they think the market is overvalued.
Market Neutral Funds - They have an equal weighting of shorts and longs to try and eliminate market risk.
Merger Funds - They short to lock in spreads on merger arbitrage.
Inverse Index Funds - They short to try and track inversely with the S&P 500, Dow, OTC or Treasury Bond markets.
"Hedge Like" Funds - They go short and long in many different combinations to try and take advantage of movements in domestic and global markets.
BTW, many funds have the ability to short in their prospectus but may not do it. I have selected these funds as the ones most likely to short, although they may not be shorting at the present time.
I hope you enjoy this forum and my website.
Disclaimer: These are not recommendations. Do your own research and read the prospectus. These funds have many different philosophies and investment styles and may not be actively shorting at the present time.
Thanks,
WS |
